On October 31, 2018, Scout Co. recorded their semiannual bond interest expense that contained a credit to Discount on bonds payable of $2,000. The adjusting entry on December 31, 2018 will show a credit to Discount on bonds payable of: (Round any intermediary calculations to two decimal places and your final answer to the nearest dollar.)
A) $2,000
B) $1,340
C) $1,000
D) $660
D) $660
Explanation: discount amount × 1/3 (to adjust for 2 of 6 months); ex: $2,000 × 0.33 = $660
Diff: 2
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